New State-of-the-Art Facility Will Support Manufacturer’s Continued Growth
Project Complements “Finger Lakes Forward” – Region’s Successful Upstate Revitalization Initiative to Grow the Economy and Create New Opportunities
Governor Andrew M. Cuomo today announced Klein Steel, an industry leading steel service supplier, is adding 50 new jobs in Rochester. The company is investing $8 million to expand its New York State footprint, increase capacity and improve productivity with the country’s most advanced steel processing equipment. The new 40,000 square foot facility is located adjacent to the company’s headquarters in Rochester, New York.
“Klein Steel continues to be a success story for Rochester, creating jobs and driving economic growth in the region,” Governor Cuomo said. “This expansion builds on that progress and underscores the state’s commitment to investing in cutting-edge technologies to strengthen the Upstate economy and keep the Finger Lakes moving forward.”
The announcement was made at a ribbon-cutting ceremony in Rochester by Lt. Governor Kathy Hochul. Klein Steel Services also announced an aggressive growth plan with the firm and is projected to double in size within the next three years. Klein Steel will retain its 190 jobs in New York State.
Lieutenant Governor Kathy Hochul said, “Klein Steel’s entrepreneurial vision has made it a fixture in the Rochester area for 45 years. That same energy is driving an expansion that will mean new jobs and opportunities across the company’s New York and northeastern markets. We are proud to partner with Klein as it writes the next chapter in its history with a state-of-the-industry facility that will increase manufacturing efficiency and train workers seeking career-building skills. This is a smart investment in a great employer and the Upstate economy.”
Klein Steel Service President & CEO Todd Zyra said, “Today’s grand opening of our new hub facility represents a new era of steel service and signals a major opportunity for our customers, our team members and the communities which we serve. It is a direct result of our continuing investments, and the support from Empire State Development, RG&E, County of Monroe, City of Rochester, and our team members and partners.”
Empire State Development, the state’s economic development agency, will provide Klein Steel with up to $750,000 in performance-based Excelsior Jobs Program tax credits in return for job creation commitments. Rochester Gas & Electric will provide up to $100,000 in assistance under its electric infrastructure and business energy efficiency programs.
Empire State Development President, CEO & Commissioner Howard Zemsky said, “Klein Steel’s new state-of-the-art facility will feature the country’s most advanced steel processing equipment and will bring 50 jobs to Rochester. If you’re planning on doubling your company’s footprint, like Klein Steel, there’s no better investment you can make than expanding your New York State workforce.”
Mark S. Lynch, president and CEO of NYSEG and RG&E said, “NYSEG and RG&E have a decades-long history of supporting growing businesses through our robust economic development grant programs. Klein Steel, a homegrown success story having expanded from a three-garage warehouse to five locations across the state, is continuing to invest and the New York State economy is benefitting. In recognition of Klein Steel’s stellar growth, we have committed to an RG&E economic development grant of up to $100,000 to assist with electric infrastructure and energy efficiency improvements for the firm’s latest expansion. We congratulate Klein Steel on its track record and wish the firm continued success.”
Monroe County Executive Cheryl Dinolfo said, “The addition of this new, state-of-the-art facility is a demonstration of Klein Steel’s continued dedication to New York State and our local community. Klein Steel has a long tradition of doing business here in Monroe County and we are grateful for their contributions to our local workforce, both creating and retaining jobs. We look forward to our continued partnership with Klein Steel as they expand and further our county's reputation as a great place to do business.”
City of Rochester Mayor Lovely Warren said, “As we work to bring more jobs, safer and more vibrant neighborhoods and better educational opportunities to our citizens, we are fortunate to have such an outstanding community partner as Klein Steel. I am grateful for the significant investment that they are making in our city, and for the jobs that will result from it. Klein Steel has had a long-standing commitment to Rochester, and this latest investment demonstrates their ongoing faith in both our city and its workers.”
Klein Steel’s Engineers and Operations experts partnered with the world’s leading manufacturers for the steel construction industry to configure an innovative, intelligent steel production system that performs multiple production sequences automatically and that are managed and monitored through intelligent devices that assure maximum efficiency and quality. The result is a custom configured system that runs different operations—from shot blasting and sawing through tracking and loading—automatically with Klein Steel Certified technicians performing vital diagnostic and quality control tasks. Ficep S.p.A., located at the foot of the Alps on the northern border between Switzerland and Italy, was the lead partner with support from its U.S. subsidiary located in Forest Hill, Maryland. In addition to Ficep, Klein Steel partnered locally with RG&E, M&T Bank and Buckingham Properties to fast track the new facility.
Senator Joseph Robach said, “Since its founding in 1971, Klein Steel has been a first-class employer and the model of success in the Rochester business community. This new, state-of-the-art facility will allow Klein Steel to continue to prosper and grow, while providing a new workspace for employees and creating 50 new jobs for our local workforce. Thanks to Empire State Development for assisting this project so we can ensure Klein Steel remains in the Rochester community for years to come.”
Assembly Majority Leader Joe Morelle said, “Thanks to the commitment of Klein Steel and the support of Governor Cuomo, Rochester will continue to expand its advanced manufacturing footprint, which will ultimately help to cultivate new innovative partnerships with global investors and accelerate job growth across the region. Today’s ribbon is yet further evidence that that manufacturing resurgence in our community is real and here to stay.”
Founded in 1971, Klein Steel has locations throughout New York. From a start-up inventory of only three truckloads of steel housed in a three-garage “warehouse,” Klein Steel Service has grown into five locations in Rochester, Buffalo, Syracuse and Albany, featuring five warehouses with 300,000 square feet of facilities; world-class, state-of-the-art metal distribution and processing equipment;3,500 line items of carbon, stainless steel, aluminum and specialty metals; Advanced Center of Excellence processing facility; and more than 2,500 customers in Western and Central New York, the Southern Tier, Northern Pennsylvania, Southern Massachusetts, Connecticut, Vermont and across the country.
About Klein Steel Service
Founded in 1971, Klein Steel Service Inc., a premier metals supplier and processing center, is the recognized industry leader in the Northeast and one of a few NQA-1 compliant metal service centers nationwide. With a 45-year track record for quality, innovation, performance and customer service, Klein Steel has grown to a 300,000 sq. ft. footprint that supports reliable delivery to customers in NY, PA, MA, VT and CT.
Klein Steel provides world-class JIT inventory and supply management solutions with over 3,500 line items of carbon, stainless steel, aluminum and specialty metals. Klein Steel also offers a full range of value-added processing services from high speed mill and drill to oxy and plasma, as well as component manufacturing and kitting for commercial applications as well as nuclear commercial-grade dedication materials.
Klein Steel is acknowledged as an industry leader having been named the 2015 winner of the Platt’s Global Metal Distributor of the Year award, a finalist in 2014, 2015 and 2016 for the Service Center of the Year award from American Metal Market, a finalist in 2016 for the Advocate of the Year award from AMM, a 2016 finalist for the Most Valuable Employer For Military by CivilianJobs, a 2015 winner of a Rochester Top Workplaces award, a 2015 Rochester Top 100 company, a 2012 recipient of the Rochester Business Ethics Award, and winner of the Industry Week Best Plants award in 2011.
Accelerating Finger Lakes Forward
Today’s announcement complements “Finger Lakes Forward,” the region’s comprehensive blueprint to generate robust economic growth and community development. The State has already invested more than $3.4 billion in the region since 2012 to lay the groundwork for the plan – investing in key industries including photonics, agriculture and food production, and advanced manufacturing. Today, unemployment is down to the lowest levels since before the Great Recession; personal and corporate income taxes are down; and businesses are choosing places like Rochester, Batavia and Canandaigua as a destination to grow and invest in.
Now, the region is accelerating Finger Lakes Forward with a $500 million State investment through the Upstate Revitalization Initiative, announced by Governor Cuomo in December 2015. The State’s $500 million investment will incentivize private business to invest well over $2.5 billion – and the region’s plan, as submitted, projects up to 8,200 new jobs. More information is available here.
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